Western Union is launching USDPT, a dollar-backed stablecoin on Solana, to speed up cross-border payments and compete with remittance rivals. | Credit: CCN.
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Key Takeaways
Western Union is entering the stablecoin game with its incoming USDPT launch.
Rather than targeting consumers immediately, Western Union plans to use the stablecoin to improve back-end operations.
The firm is also building a Digital Asset Network and a “Stable Card.”
Western Union is preparing to enter the stablecoin market, marking a significant shift for the legacy remittance firm as it looks to modernize cross-border payments and compete with a growing wave of blockchain-based rivals.
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Chief Executive Devin McGranahan said this week that the company is in the final stages of launching its long-awaited dollar-backed stablecoin, known as USDPT, with a rollout expected as early as this month.
The digital asset will run on the Solana blockchain and be issued in partnership with Anchorage Digital.
Rather than targeting retail users at the outset, Western Union plans to deploy the stablecoin internally to streamline how it settles transactions with partners.
By contrast, stablecoins could allow near-instant settlement, reduce delays and lower the amount of capital tied up in transit between counterparties, he added.
Alongside the token launch, Western Union is building a broader digital asset strategy.
This includes a Digital Asset Network that would allow crypto wallet providers to integrate Western Union as a cash-out option — and enable users to convert digital holdings into local currency.
The company also plans to introduce a “Stable Card” later this year, designed to let customers hold funds in stablecoins and spend them via traditional card networks.
The product is expected to target markets where inflation drives demand for access to US dollar-denominated value.
Western Union CEO: Stablecoins Are An Opportunity
The move represents an evolution of Western Union’s public stance on digital assets.
Last year, McGranahan said the company did not view stablecoins as a competitive threat, but rather as a potential tool to enhance its services.
He has long-pointed to faster cross-border transfers as a key advantage, noting that improvements in transaction speed could benefit the company and its customers.
At the same time, he also acknowledged that stablecoins still face limitations in everyday use, particularly when it comes to spending them directly in traditional retail settings.
That gap, he argued, creates an opportunity for Western Union to act as a bridge between digital assets and fiat currencies.
“Last I checked, you couldn’t spend Stablecoin if you wanted to buy a Coca-Cola,” he said in an interview with Bloomberg.
Implications For Remittances and Competition
Companies are increasingly exploring stablecoins as a tool for remittances. They offer faster and cheaper cross-border transfers compared with legacy systems.
For companies like Western Union, whose business for decades relied on physical agent networks and bank-based settlement, the technology presents both a massive opportunity.
MoneyGram has been working with stablecoin issuer Circle, while payments firms such as Stripe have begun building blockchain-based infrastructure aimed at cross-border transactions.
Western Union previously said its pipeline of potential partners for its digital asset network includes companies serving tens of millions of crypto wallet users.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
